Tuesdays with Morrie by Mitch Albom

"An old man, a young man, and life's greatest lesson" - The sub-title of this book sum it all. As I read, I cannot help but find the book filled with love, compassion, wisdom, and serveral tints of enlightenment!

[Tuesdays with Morrie] is a great book to trigger our reflections this coming Christmas in 2008. Are we living a life that we want? Or are we living at all? When is the last time we'd contacted our teachers, or have a cup of coffee with them or a get-in-touch email?

A few life lessons, as mentioned by the dying Morrie, written in this book that touches me deeply:

1.  "So many people walk around with a meaningless life. They seem half-asleep, even when they're busy doing things they think are important. This is because they're chasing the wrong things. The way you get meaning into your life is to devote yourself to loving others, devote yourself to your community around you, and devote yourself to creating something that gives you purpose and meaning."

2.  "To know you're going to die, and to be prepared for  at any time ... That way you can actually be more involved in your life while you are living."

3.  "Learn to detach. Don't cling to things, beacuse everything is impermanent ... Let the experience penetrate you fully. That's how you are able to leave it."

4.  "As long as we can love each other, and remember the feeling of love we had, we can die without ever really going away ... You live on - in the hearts of everyone you have touched and nurtured while you were here ... Death ends a life, not a relationship."

There is also a very beautiful analogy written in the book, which I'd like to quote here to share with those who are keen to know what this book can offer.

[Quote]

I heard a nice little story the other day ... the story is about a little wave, bobbing along in the ocean, having a grand old time. He's enjoying the wind and the fresh air - until he notices the other waves in front of him, crashing against the shore.

"My God, this is terrible," the wave says. "Look what's going to happen to me!"

Then came another wave. It sees the first wave, looking grim, and it says to him, "Why do you look so sad?"

The first wave says, "You don't understand! We're all going to crash! All of us waves are going to be nothing! Isn't it terrible?"

The second wave says, "No, you don't understand. You're not a wave, you're part of the ocean."

[Unquote]

I will like to take this oppotunity to thank all my teachers, coaches and mentors, for sharing your life experiences and making who I am today. You are:

My Family

Alvin Kek

Alvin Yapp

Benson Soong

Desmond Fu

Eric Tan

Eugene Aw

Freddy Yip

Jason Low

Lawrence Lim

Lee Liang Huat

Lim Koon Pah

Melvyn Chia

Michael Yau

Patrick Sim

Soh Guan Khwee

Sng Siak Keng

Last but not least, Chang Phuan Sim for introducing this book to me.

If you names are not mentioned here, it does not mean you are forgotten. The life lessons that all my friends and associates had embraced me with, will be part of me forever, and the experience will evolve and promulgate down to the next receipents to benefit them. Keep sharing. :-)

Warmest regards,

Leroy Ang

"When I Stop Learning, I Stop Living."

Secrets of Millionaire Investors by Adam Khoo & Conrad Alvin Lim

Adam & Conrad share their investment experiences in this book, offer reasons on why we should invest and different strategies (tools) for different categories of investors and traders.

Fundamentals are still hours of effort and hard work to acquire financial education in order to be a successful investor. There is no free lunch on earth.


Two important lessons about wealth were shared:

1st : Choose to consistently save and let your money work hard for you (by investing)
2nd : Learn how to create multiple streams of income


Readers can broadly expect the following topics to be covered in this book:

1. Rules of 72 : When your initial investment compound and doubled

2. Psychology & Habits of Successful Investors : Key issues to take note of

3. Investing Strategies & Tools : For Risk-Adverse Investors, Value Investors, Momentum Investors and Options Traders

4. Making money in a Down Market : Techniques to use, Indicators to watch out for

5. Applying your Knowledge Gained : Summary of approach


Some useful websites references are given in the book too:

Adam Khoo’s websites:
http://www.wealthacademyinvestor.com/
http://www.akltg.com/
www.thewaytomakemoney.com/tools.html

Research:
http://finance.google.com/ http://finance.yahoo.com/ http://www.annualreportservice.com/ (for US companies) http://www.sgx.com/ http://www.moneycentral.com/ http://www.morningstar.com/

News:
www.cnbc.com http://www.briefing.com/ http://www.wsj.com/ http://www.investors.com/ www.federalreserve.gov/FOMC

Edu:
http://www.investopedia.com/

Online Brokers:
http://www.optionsxpress.com/ http://www.e-trade.com/ http://www.interactivebrokers.com/ http://www.thinkorswim.com/ http://www.cityindexasia.com/

A must read for to-be investors.

Cheers!

Leroy

"When I Stop Learning, I Stop Living."

The Top 10 Distinctions between Millionaires and the Middle Class by Keith Cameron Smith

The Top 10 Distinctions between Millionaires and the Middle Class by Keith Cameron Smith is a easy to read and digest book on basic financial concepts. The author differentiates Millionaires (M) and the Middle Class (MC) using the 10 distinctions stated in his book. By understanding the differences between the M and the MC, we can stage and position ourselves for greater wealth building and creation. Most important of all, my belief sync with the author's: Success is a journey.

What i find more interesting is the author's reasons of publishing this book. He mentioned 3 reasons for writing this book: Responsibility, Purpose, Legacy, which differentiates him from other authors of similar books - This guy is damned straight forward. The language he'd used is simple, direct, to the point. Most importantly, easy to understand by layman.

After 2 years of acquiring assets in financial education since Dec 2005, I'd realised that I am already a practitioner of some of the distinctions stated in the book. I am sure that I am able to acquire the remaining distinctions using a few more years. I am glad that I am able to move from the MC to the M very soon.

I attempted to sum up what to expect from this book as follows:

Distinction 1: Millionaires ask themselves empowering questions. Middle class ask themselves disempowering questions.

"Ask and you will receive." & "As a man thinks, so is he." - So better ask empowering questions. Learn to ask ourselves questions that stretch beyond your current levels of experience. The questions you ask yourself determine the results you get in your life. Think about questions that expand your mind. Empowering questions ask us what we can do, make us feel good, become a powerful and peaceful person. Questions controls mind, condition it to create success. 9 questions based on "Be, Do, Have" concept offers clarity; Know What you want, Why you want, and the How will naturally follow. Most important question to ask, "What would make my life meaningful?"

Distinction 2: Millionaires focus on increasing their networth. The middle class focuses on increasing its paychecks.

Own assets (have value and earn passive income for us) using our paychecks. It requires new knowledge so study hard to learn how to acquire income-producing assets. Patience, knowledge and wisdom are required to increase our net worth. Wisdom is applied knowledge. Achieve Freedom - the freedom to work because we want to instead of because we have to. Learn to keep our cost of living the same even as we build our wealth. Uncommon wisdom of M: Do not increase spending when income increases, instead increase investing.

Distinction 3: Millionaires have multiple sources of income. The middle class has only one or two.

The more sources of income we can develop, the more likely we will become a M. The trick to developing mulitple sources of income is to focus on making them passive (with minimum management). Build a TEAM and learn to be humble. Employ Intentional Congruence concept - methodical planning, getting each source of passive income to support the other income. Focus on PASSIVE sources of income, build a TEAM, and practice INTENTIONAL CONGRUENCE.

Distinction 4: Millionaires believe they must be generous. The middle class believes it can't afford to give.

Learn to be generous, it feels great when we give from the heart. Being generous is a sure way to be happy. (that's why Keith write books, teach seminars on success - give people the knowledge they can use to make a long-term improvement) Understand the Law of Sowing and Reaping (Law of Causes and Effects in Buddism)

Distinction 5: Millionaires work for profits. The middle class works for wages.

Wages are the pay we receive for the work we do. Profits are the result of buying something for one price and selling it for a higher price. Learn to earn profits, then sky is the limit.

Distinction 6: Millionaires continually learn and grow. The middle class thinks learning ended with school.

Success is a process, a journey. The more money you spend on financial knowledge, the more money you will make. By reading more (even if it is just a concept in each book), we compressed time and learn financial secrets that took others years to discover. M invest in their knowledge with people who have achieved success that they want for themselves. Wisdom is Applied Knowledge. Focus on personal growth, love life. True success involves peace and contentment.

Distinction 7: Millionaires take claculated risks. The middle class is afraid to take risks.

The only way out of the rat race for the MC is to take calculated risks. Calculated Risks means to gain knowledge first, consider the consequences of failing before taking action. 3 fears of the MC: Fear of Failure, Rejection, Loss. Fear can be overcomed with knowledege. Failure is part of the path to success - Embrace it and become wiser. We must want to succeed more than we want the acceptance of other people. Losing is part of winning. Live like you were dying - take more risks, take more time to reflect, do more things that would live on after we are gone. Take action! Click on the banner below to download the book now!

Practice risk management with 3 questions:

1. What's the best thing that could happen?

2. What's the worst thing that could happen?

3. What's the most likely thing to happen?

Distinction 8: Millionaires embrace change. The middle class is threatened by change.

"For the timid in our society, change is frightening. For the comfortable, change is threatening. For the truly confident among us, change is opportunity." - Nido Qubein, Mentor of Keith.

Confidence is acquired thru preparation, hard work, result of working on ourselves, believing we can do whatever we choose to. We can choose or wish to be rich but remember that Choice is backed by a belief that we can do it, Wish is backed by a doubt that we can. Fear blinds us to opportunities - so develop confidence, learn to accept change and fear will become False Evidence Appearing Real. People are born to learn and grow. Change is good!

Distinction 9: Millionaires talk about ideas. The middle class talks about things and other people.

"Big people talk about ideas, average people talk about things, and small people talk about other people." What do you spend your time talking about? Ideas, things or people? M do talk about people and things. M compliments people for what they did right. M shares notes and books with each other. The power of our words create the experiences of our life; so change our vocabulary, stop complaining and start learning. Learn to develop gratitude. The lessons of life come to teach us to look at life from new perspectives. This leads to new ideas.

Distinction 10: Millionaires think long-term. The middle class thinks short-term.

Give up scarcity mentality (money is in abundance!). Make long-term thinking a habit to release its power. Thinking long-term requires patience and patience is an asset. Thinking long-term builds relationship. Thinking long-term builds health. Thinking long-term develops perserverance. The secret of M: Do what you love to do to make money.

Keith concludes with the concept of repetition to train our mind to think differently. Remember, Success is a Journey.

To read more about Keith's free sharing, goto http://keithcameronsmith.com/.

You can also download his book at eBooks.com - Download a book today. Get 20% off at eBooks.com!

Another realisation I'd after reading this book is, "Diversification spreads risks. Knowledge reduces risks". If I want to increase my wealth, I must choose to, commit to, plan to and act to achieve wisdom, not just diverse.

Happy Learning,

Leroy

"When I Stop Learning, I Stop Living."

Law of Attraction - Michael Losier

I bought a copy of this book, Law of Attraction - The Secret behind The Secret, written by Michael Losier, after my trusted friend and financial planner, Sherman Kelvin Dass, recommended it to me.

Michael Losier employs NLP to coach readers on how to apply the Law of Attraction (LoA), since 1996. He has been an activist on this subject since. There is more to just NLP. Physics is involved. So the subject has become a science!

This is an easy-to-follow How-To book. Simple to read, exercises are easy to follow.

I'd attempted to map a concept out of the book's content. To understand the details, you will still have to read the book yourself.

In short, I agree with the author that this book has mass appeal.

Cheers!
Leroy

"When I Stop Learning, I Stop Living."

The Richest Man in Babylon by George S. Clason

Wow! It has been a few eventful weeks since my last post. My primary job has been taking a toil on my energy. With encouragement from my mentor, I'd decided to continue my blog. So after more than 12 hours of rest, feeling recharged, I'd re-read a book that crossed my path in 2006, "The richest man in Babylon". This is a book written in the 1920s. It has been a year since I'd read it and a lot has changed to my financial situation. What remain constantly true and effective are the principles introduced by the book. I'd attempted to map it as follows:

The author assumed that that the reader is motivated by desire and by choice, choose to change his financial situtaion with the 7 Cures and 5 Laws of Gold. After understanding the cures and the laws, draft a plan and act on it.

The 7 Cures (to a lean purse)

1. Start thy purse to fattening. "A part of all you earn is yours to keep. For each ten coins i put in, to spend by nie." (PYF)

2. Control thy expenditure. "Budget thy expenses that thou mayest have coins to pay for thy necessities, to pay thy enjoyments and to gratify thy worthwhile desires without spending more than nine-tenths of thy earnings." (Budget expenses)

3. Make thy gold multiply. "To put each coin to labouring that it may reproduce its kind even as the flocks of the field and help bring to thee income, a stream of wealth that shall flow constantly into thy purse." (Invest)

4. Guard thy treasures from loss. "Investing only where thy principal is safe, where it may be reclaimed if desireable, and where thou will not fail to collect a fair rental. Consult with wise man. Secure the advice of those experienced in the profitable handling of gold. Let their wisdom protect thy treasure from unsafe investments." (Secure)

5. Make of thy dwelling a profitable investment. "Own thy own home." (Own, avoid installments for purchases)

6. Insure a future income. "Provide in advance for the needs of thy growing age and the protection of thy family." (Insure, Emergency fund)

7. Increase thy ability to earn. "Cultivate thy powers, to study and become wiser, to become more skillful, to act as to respect thyself." (Knowledge)

Luck

The author moved on to discuss the causes for being lucky. A few quotes seem to sum up the ideas.

"Good luck waits to come to that man who accepts opportunity."

"To attract good luck to oneself, it is necessary to take advantage of opportunities."

"Good luck can be enticed by accepting opportunity."

Men of Action are favoured by the Goddess of Good Luck. (Act, Luck)

The 5 Laws of Gold

1. Gold cometh glady and in increasing quantity to any man who will put by not less than one-tenth of his earnings to create an estate for his future and that of his family. (PYF)

2. Gold laboreth diligently and contentedly for the wise owner who finds for it profitable employment, multiplying even as the flocks of the the field. (Invest)

3. Gold clingeth to the protection of the cautious owner who invests it under the advice of men wise in its handling (Secure)

4. Gold slippeth away from the man who invests it in businesses or purposes with which he is not familar or which are not approved by those skilled in its keep. (Circle of Competence)

5. Gold flees the man who would force it to impossible earnings or who followeth the alluring advice of tricksters and schemers or who trusts it to his own inexperience and romantic desires in investment. (Knowledge)

Loans

The author moved on to discuss the idea of giving out loans to your family members, relatives or friends. The following is a wisdom to share,

"If you desire to help thy friend, do so in a way that will not bring thy friend's burdens upon thyself. Better a little caution than a great regret."

Quotable quotes:

"Preceding accomplishment must be desire. Thy desires must be strong and definite."

"We cannot afford to be without adequate protection."

"Where the desire is, the way can be found."

Good Night!
Leroy

"When I Stop Learning, I Stop Living"

Rules of Wealth by Richard Templar

I'd been digesting my read on the book by Richard Templar, "Rules of Wealth", since Jan 2007. He is also the author of "Rules of Work" and "Rules of Life". A pragmatic author offering pragmatic advice. There are 100 rules stated in his book, Rules of Wealth". If I may sum it up into just 5 points for sharing. The 5 points are:

1. Money is a Concept
2. Take Action with a Plan
3. Build a Team
4. Protect It
5. Share It

Human species started off with barter trading; exchanging of goods for goods (applicable to services too). Then it evolved into some form of sea shells... nice looking and precious one I think. Then came precious metals like gold. Now its currency - Paper Money. And many of us are crazy over it - that pieces of paper!

Why is money so precious and how can we make more of it?

Richard started off his book with the phrase, "Money is a concept". And that caught my eyes straight away. I'd then realised that there are abundance of money in this world! Yes, Abundance! You see, if money is just a concept, and concept is an idea, and ideas are in abundance, which means money is also in abundance! So if you have alot of ideas and is able to put 1 or 2 into action, money will flow naturally to you. And the best part is, the more you practise it, the better you become with it. Sound nice. ;-)

Richard quoted an example about a Red Paper Clip, which eventually was traded for a house in just 9 months. Yes, 9 months ONLY! The owner of this idea is pretty wealthy now I guess. All he had used was a red paper clip. You can read more about it @ http://oneredpaperclip.blogspot.com/. So you see, we don't need a lot of money to make more money. So remove this mental rug if you have them in your mind. It takes financial education to make more money and of course a great idea. ;-)

Since then, I have stopped focusing on more money. I focus on the process of making it instead. If my process is correct and appropriate, money will automatically flow into my pocket. Sound even nicer, ya. :-)

Of course, ideas are just ideas unless you put it into action. Yes, be comitted and act on it and see it evolve into being. By PYF, I entered the positive cash flow category. Now I can even buy shares of companies that I like. I love actions. All these falls into my financial plan. A plan keep me focus.

Of course, no man is an island. We need advise along the way. That's why we need a team to achieve more.

Of course, once your assets grows into a huge pile, you need to know how to protect your assets from any ill intent predators. Well, some may not be ill-intent but still must protect it, guard it like a hawk.

Of course, being rich alone is boring. If we can share it (refers to knowledge) and help more of our friends get richer, you can earn something that money cannot even buy for you. Monetary donation is also a form of sharing but watch out for which charity organisation you are donating too. Some are just empty shells and some donno how they spend your donated money away.

Well, the book is as simple as the 5 points i'd summarised but more depth can be found in the book of course. That is if you want to read that 100 rules one by one... ;-)

Some quotes in the book caught my attention. I am sure it will be useful to you too. Just to share a few:

"You have the same rights and opportunities as everyone else to take as much as you want. Anyone can be wealthy."

"The wealthy people knows exactly, to them, what wealth means."

"Most people are too lazy to be wealthy. They may say they want to be, but they don't."

"Money can't buy a kind smile. Money doesn't buy happiness."

"If you can't afford what you want, buy less, but buy quality. Live within your means."

"If people think that you need the money it gives them power over you and that makes you insecure."

"Once you have formulated your plan, your objective, your strategy, your goals and targets and ambitions and destinations, then be committed."

"Changing direction is often hard; Developing new character traits can be painful."

"Good Luck."


So good luck in your journey to financial freedom too!


Cheers!
Leroy

"When I Stop Learning, I Stop Living."